Category Archives: Business & Politics

Premier David Eby says he is not satisfied with people closing sawmills in BC and leaving workers stranded. Eby said he and the BC NDP are going to find a path forward to support the forestry sector… The premier acknowledged the “huge strain” the forestry industry was under but said the BC NDP had a strategy in place to lessen the impact. “We’re doing a couple of things. One is getting more jobs per tree,” he explained. “The other is making sure that we’re protecting iconic old growth forests for future generations. And the third is ensuring a sustainable forest industry going forward for British Columbians that connects our trees with the people who are creating jobs in the province and investing in the province is the path forward for us.”

John Rustad

VANDERHOOF — B.C. Conservatives are promising changes they say will bring more stability to the province’s struggling forest industry. Leader John Rustad announced his plan for the sector a week before the official launch of the provincial election campaign, saying a Conservative government would do away with stumpage fees paid when timber is harvested and instead put a tax on the final products that are produced. Rustad said Saturday that under a provincial Conservative government, a small fee may be charged upfront, but the bulk would come at the end of the process, depending on what type of product is created. He also promised to review how wildfires are managed, as well as streamline the permit process and review what he calls the province’s “uncompetitive cost structure.” …The governing New Democrats meanwhile, say eliminating stumpage fees would inflame the softwood lumber dispute with the U.S. and hurt forestry workers.

John Rustad

B.C. Conservative Party leader John Rustad says B.C. needs to “get back to a place where we respect our forest sector.” Rustad was in Vanderhoof Sept. 14 to announce his party’s policies associated with the forestry industry. He listed several pillars to the policy, including: defining the land area that will be prioritized for the harvest of primary forest products and meeting of biodiversity goals; replacing stumpage with a value-added end product tax; implementing a “one project, one permit” process; undertaking a complete review of how wildfires are managed in B.C.; and investing in workforce training for the forest sector, “so British Columbians can access the expanded opportunities that will be created.” The first thing that needs to be done, he said, is creating certainty for the forest sector. …Premier David Eby said his government will look to connect existing tenures with new users as part of responding to those closures. 

Market conditions, a lack of fibre and US tariffs are forcing the two-week closure the Tolko lumber plant in Armstrong. Tolko spokesperson Chris Downey said employees were notified the mill will be taking two weeks of downtime beginning Sept. 16 and ending Oct. 1. “Unfortunately, the availability of economic fibre in BC, combined with weak market conditions and increased US tariffs continue to have an impact on our operations,” Downey said in an email. “As we’ve seen recently, the entire industry is feeling this pressure and while we prefer to be fully operational, difficult decisions are needed to ensure we are sustainable for the future.” Scales in the region will remain open.

Kennedy Gordon

…We’ve known for years that BC’s forest industry is in serious trouble. The most recently announced U.S. tariffs aren’t helping. For years, under first the BC Liberals and then the NDP, the approach has been to kick the can down the road when it comes to addressing the ground-level challenges facing the forestry industry. Companies keep harvesting, milling and shipping until the ledger turns red (or looks like it might), and then the saws are unplugged, the mills close and people lose their jobs. It didn’t have to be this way. …The industry has about half the jobs it did 25 years ago. It’s failing. This is odd, considering we’ve had an NDP government in power since 2017. Left and centre-left political ideology usually embraces the opposite of kicking the can down the road. …NDP governments, however, hesitate to support large corporations on ideological grounds.

Vancouver, BC – As indicated in its September 4 announcement of the closure of the Plateau and Fort St. John operations, Canfor Corporation remains committed to exploring opportunities to divest some of its northern BC tenure to support other BC manufacturers who are facing similar challenges accessing economic fibre to support their operations. The Company has received indications of interest from several parties and will be considering options and engaging in discussions as appropriate. As per normal business practice, further public disclosure will follow only if and when there is a material event to disclose.

KAMLOOPS, BC — Kruger Inc. announced today a $32.4 million investment at its Kamloops Pulp Mill to implement innovative technology to diversify its product portfolio and expand into fast growing markets. In addition to improving Kruger Kamloops’ competitiveness, performance, and environmental footprint, this initiative will contribute to securing 340 jobs at the Mill, as well as 1,000 indirect jobs in BC …The governments of Canada and BC are contributing $5 million each to this project. …Kruger Kamloops’ new pulp washing system will enhance the plant’s effectiveness and significantly reduce inorganic material and talc in the finished product. The process will also result in a notable reduction in bleaching chemical usage. …Slated for completion in 2026, the project will enable Kruger Kamloops to ramp up production of ultra-clean pulp from 43,000 MT in its first year up to more than 115,000 MT annually in its third year and beyond.

New support for forest-sector manufacturers throughout the province will create jobs, strengthen local economies and promote the transition to high-value, made-in-B.C. forestry products. …Through the BC Manufacturing Jobs Fund, the Government of B.C. is contributing up to $11.4 million to eight forestry-sector capital projects and one planning project in communities throughout the province. …Kruger Kamloops Pulp mill, in Kamloops, will receive up to $5 million to support the commissioning of a new pressure diffusion washer with an AI-powered control system… The Government of Canada is also providing $4.9 million … for this initiative. …Power Wood Corporation in Agassiz-based …in partnership with Squiala First Nation, will receive up to $3.4 million for their project to create a new state-of-the-art thermal modification manufacturing facility that will produce high value, thermally modified wood products that are known for their stability and durability.

John Brink is tired of hearing about … a dying industry and he intends to do something about that… The owner of the Brink Group of Companies has made a proposal to Canfor to buy its mill operations and timber harvesting rights in Bear Lake, Vanderhoof and Fort St. John and forest tenure in Houston. Brink was already pursuing a bid to acquire Polar Sawmill at Bear Lake north of Prince George when Canfor announced last Wednesday it intends to permanently close the Plateau Sawmill in Vanderhoof and Fort St. John Sawmill. Brink has been trying to secure a timber supply to keep his finger-joint lumber plant operating and protect the jobs of his current workforce at Brink Forest Products, Vanderhoof Specialty Wood Products and Pleasant Valley Remanufacturing in Houston. A deal with Canfor would bring Brink’s mills up to full 600-worker capacity and he says there would likely be enough work for 5,000 direct and indirect jobs. 

Scott Moe

PRINCE ALBERT, Saskatchewan — The stage has been set for an oriented strand board mill to begin construction in Prince Albert. Premier Scott Moe announced Thursday that the province has allocated nearly 1.2 million cubic metres of timber to One Sky Forest Products. “This allocation positions the industry to meet that growth target, working with Indigenous businesses and creating jobs for northern residents, further protecting and promoting Saskatchewan,” said Moe. One Sky was formed in 2020 by Montreal Lake Business Ventures, Meadow Lake Tribal Council, Big River First Nation and Tatanka Oyate Holdings, who brought in Peak Renewables – a BC forest products company – as an industry shareholder. …The OSB plant, which was originally announced in 2021, will share a site with the Paper Excellence pulp mill. …Construction on the $400 million plant is anticipated to begin in 2025 and open in 2027. It’s expected to create an estimated 800 direct and indirect jobs.

Justin Trudeau

Prime Minister Justin Trudeau says he and his Liberal government will protect the country’s forestry industry from a hike in tariffs if Donald Trump is elected as the US President in November. The comment was made while the Prime Minister took questions from reporters in Nanaimo, where Liberal MPs are hosting a three-day caucus retreat… [H]igh lumber costs, mill closures and lost jobs were not only impacting BC but all of Canada and even America. “When we talk about softwood lumber, the reality is Americans are facing a housing crisis as well, Americans are facing challenges with the rising cost of housing and paying more for lumber from Canada makes no sense for the American people,” Trudeau said.

The Ka:’yu:’k’t’h’/Che:k:tles7et’h’ First Nations have acquired an Interfor forest licence, marking a historic milestone in reclaiming stewardship over their traditional territories and building a sustainable economic future. “It allows us to take control of our forestry resources and aligns with our broader vision of economic growth and environmental stewardship,” says Gary Wilson, CEO and director for economic development for Tiičma Enterprises, the Nation’s company, in a media release from Sept. 10. This acquisition is a significant step for Nations in reclaiming stewardship over their traditional territories, restoring ecological balance, and fostering a sustainable economic future for future generations, the Nations said. For Ralph Friedrich, Interfor’s vice president of coastal operations, the deal represents the forest product company’s ongoing commitment to reconciliation in British Columbia.

David Eby, Ken Kalesnikoff & Janet Austin

The owner of one of the West Kootenay’s most successful and long-standing businesses has been recognized with the King Charles III Coronation Medal. Ken Kalesnikoff, owner of Kalesnikoff Lumber, was given his medal at an Aug. 27 ceremony held at HMCS Discovery in Vancouver. …Kalesnikoff Lumber was established in 1939 and in recent years has expanded to include a mass timber division that is one of the largest in North America. Along with running the multi-generational business alongside his son and daughter, Kalesnikoff is known for his forest industry advocacy and his work promoting value-added products. …”My whole career has always been about adding value and advocating for the industry and for the independent companies,” said Kalesnikoff, who thinks it is that work that earned him the recognition.

James Steidle

As 500 workers lose their jobs in Vanderhoof and Fort St. John, Stop the Spray BC founder James Steidle is calling on the province to take back mill-less timber harvesting rights. With many communities left in limbo by absentee forestry corporations, Steidle says it’s only fair that those tenures go to someone who can provide the jobs. “Recently Canfor CEO Don Kanye said they will ‘divest’ some of their Northern BC tenures, which means they will sell them. But they aren’t theirs to sell,” said Steidle. 

PRINCE GEORGE — Canfor announced on Monday evening that they have transferred their forest tenure in the Mackenzie Timber Supply Area (TSA) to the McLeod Lake Indian Band and the Tsay Keh Dene Nation. “Building on our long-standing relationships, Canfor is pleased to have reached this arrangement that will expand the Nations’ participation in the forest economy and stewardship of forest resources in the region,” said Stephen Mackie, Executive Vice President North American Operations. “We believe this agreement will support improved fibre access in the TSA and generate significant economic benefits for local and regional communities.” Canfor says that the total proceeds from the tenure sale and the quote “previously announced disposition of associated Mackenzie sawmill assets are $69 million dollars.

The City of Port Alberni is denying that it defamed the San Group forestry company and is asking that a lawsuit launched by the company be dismissed. The city asked the Supreme Court of B.C. last month to dismiss a lawsuit filed by the company claiming an overnight search of its remanufacturing plant by local officials harmed its reputation. No allegations have been proven in court and no court dates have been set. In the city’s version of facts filed this week, it said the media published public complaints regarding the living conditions of temporary foreign workers on premises owned by the San Group. …In its response to the San Group’s claim, the city denies it is liable. San Group has rejected suggestions that it was mistreating its temporary foreign workers.

PRINCE GEORGE – It has been a tough week for more than five hundred Canfor employees between Vanderhoof and Fort St. John, with the forestry giant announcing the permanent closure of those operations. It elicited some immediate demands from many corners about one thing: Tenure and the return of it to the Province. “The reality is they’re divesting our region,” says advocate James Steidle. “They’re taking these mills out. They’re shutting down mills or selling off the sawmills.” …“The government needs to step in and let them know clearly when the mill shuts down, you lose your logging rights. And those logs should be available because it’s not a dying industry,” says Brian O’Rourke, President of the United Steelworkers Union, Local 1-424. “The price of lumber will come back. The softwood lumber tariffs. We’ve won them over and over, over again in courts. I don’t see a different decision coming out.”

The impact of the pending Canfor sawmill closures in Vanderhoof and Fort St. John is just starting to be felt and the trickle-down effect on the economy in those communities will no doubt worsen once those permanent closures happen. Brenda Bailey, BC’s minister of jobs, says there’s nothing that will soften the blow for the affected workers but the province is doing what it can to set up retraining programs and will help them find work. “It’s horrific news,” Bailey said. …The peripheral effects are so significant. I know this decision by Canfor is a really hard one to hear. A big factor is the increase from the States in terms of softwood lumber and the tariff increase last month. …“Canfor has made these decisions not only in British Columbia but also in some of their mills down in the States as well.”

Nak’azdli Whut’en First Nation Chief Colleen Erickson lambasted the leadership of Canadian Forest Products in their decision to permanently shut down the Plateau Mill, which will leave Vanderhoof without its largest employer. Canfor announced Wednesday it will close the Plateau and Fort St. John sawmills due to a lack of economic fibre, poor market conditions and increased tariffs on exports to the US. The Plateau Mill has been a fixture in Vanderhoof since 1969. It employs many Nak’azdli members who work in the mill or in forestry operations that supply it who now face the possibility of having to leave their home communities to find work elsewhere. Erickson said it was no surprise to no one realized that the mill was in jeopardy as timber supplies diminished and that it would eventually meet a similar fate as that of other sawmills and pulpmills in the region that have also been closed permanently or curtailed indefinitely.

Vancouver, BC – Linda Coady, President & CEO of the BC Council of Forest Industries (COFI) made the following statement in response to the announcement of additional mill closures in BC. “Any time a mill closes, those hardest hit are the workers, their families and the community, and the immediate concern is to ensure they receive the support they need. Yesterday’s closures underscore the urgent challenges facing British Columbia’s forest sector and the need for immediate government action to address the root causes threatening the future of forestry in BC. Forest management, harvesting, and manufacturing supports tens of thousands of jobs across BC, contributes significantly to the provincial economy, and plays a critical role in advancing economic reconciliation with First Nations. …COFI is also calling on all parties in the forthcoming BC provincial election to have a clear and focused strategy that strengthens the forest sector’s competitiveness by addressing three priorities